Executive Key Takeaways
- •The advertised price is only the starting point of your budget
- •RETT is currently 5% of the transaction value, subject to exemptions
- •Budget for financing, service charges, maintenance and insurance too
Property Purchase Price
Start with the advertised price, but don't stop there. The listed figure is the base of your budget, not the total you will actually pay.
Real Estate Transaction Tax
Saudi Arabia's current RETT rate is 5% of the real estate transaction value, subject to applicable exemptions and rules. (Source: ZATCA)
Brokerage Costs
Buyers should understand whether a broker is involved, what service is being provided and what commission or contractual obligations apply. REGA regulates real-estate brokerage through FAL licensing. (Source: Real Estate General Authority)
Other Costs
Depending on the property and the transaction, your total cost may also include financing costs, service charges, property management, maintenance, insurance and registration or documentation-related costs.
“Your property budget should include the cost of owning the property — not just the cost of buying it.”
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